I. Executive Summary: House Bill 787 (HB 787) as enacted by the 82nd Texas Legislature, allows for local government or public citizens to cleanup and dispose of vehicles, watercraft, outboard motors, or aircraft which have been abandoned. This change provides an additional avenue which had previously not been available regarding boats and outboard motors when local law enforcement staff and funds have not been available to adequately address the disposal of these assets.

II. Discussion: Prior to this legislative change, boats and outboard motors found abandoned on private property could only be taken into custody by the local law enforcement, as defined under the Transportation Code. If the law enforcement agency chose not to take custody of the asset from private property, then the property owner had no lawful means of disposing of the asset.

Additionally, within the past two years the department began participating with the United States Coast Guard National Vessel Information System (VIS). Through this program the department shares boat and motor data with the Coast Guard and has access to the data shared by other states. In addition to state database records, this national database aids in identifying ownership and is used during the bonded title process.

HB 787 grants the department the authority and ability to title abandoned boats and/or outboard motors through the bonded title process should the owner of record, lien holder, or local law enforcement decline to remove the asset from private property. The bill incorporates the definition of an abandoned vessel or outboard motor, which is stated as “any vessel or outboard motor that has remained on private property without the consent of the owner or person in charge of the property for more than seven consecutive days.”

The changes resulting from this bill do not negatively impact department resources and expenses as the bonded title process is already established. These changes will assist with environmental cleanup and bring in a small amount of additional revenue in the form of title and registration fees along with the subsequent renewals of registration.

The changes resulting from HB 787 do require an adjustment and addition to the rules. The bonded title process consists of the applicant sending notification to recorded owner(s) and lienholder(s), providing documentation and affidavits concerning the situation, and purchasing a surety bond for 1-1/2 times the value of the asset(s). The department issues the title with bond information printed on the title. The bond remains in effect for a period of three years after which a clear title can be issued. During the three year period, any previous owner contesting ownership can file for financial compensation through the surety bonding company by filing a claim and providing proof of ownership. The person issued the surety bond will then repay the bonding company the amount of the payout.

The proposed rule amends the conditions acceptable for issuing a bonded title and adds the following conditions that must be met for abandoned boats and outboard motors:

Meeting the definition of an abandoned vessel or outboard motor.

Sending notification to the local law enforcement office in whose jurisdictionthe abandoned boat and/or outboard motor currently resides and allowing them 30 days to take the asset(s) into custody.

Posting public notice of the asset and the applicant’s intent to title on the department’s website for a period of six months.

Handling disputed ownership claims.

Verifying any previously recorded ownership through the State and National databases.

III. Recommendation: Staff recommends that the Commission adopt the proposed motion with consideration to any relevant comments received:

“The Texas Parks and Wildlife Commission adopts revisions to §53.100 with changes as necessary to the proposed text as published in the July 22, 2011, issue of the Texas Register (36 TexReg 4633-4635).”